A large for-profit CCRC in North Branford, Connecticut recently sold. Purchased in 2006 by a joint venture between The Shelter Group and Herbert J. Sims & Company for $72 million, 10 years later it sold for approximately $69.5 million. National Health Investors (NYSE: NHI) was the buyer, and its all-in acquisition cost was about $74 million, which included closing costs, various escrows/deposits, and other fees. The CCRC, which has 227 independent living units, 22 assisted living units and 50 skilled nursing beds, was originally developed in the early-1990s in two phases on 88 acres. Occupancy had been on an upward trend and was just over 88% in 2015. NHI will be leasing the community to North Carolina-based Senior Living Communities for an initial lease term of 13 years at a lease rate of 6.77% with a 4% annual escalator on January 1, 2017 and 2018, and 3% escalators thereafter. Rick Swartz, Jay Wagner and Aaron Rosenzweig of Cushman & Wakefield represented the seller in the transaction. We will have further details in the December issue of The SeniorCare Investor.
Connecticut CCRC Changes Hands
